Much to my surprise I have a ton of longs on the list today and not a single short. Almost all of the longs are stocks that made hammers yesterday.
The market's set to gap down largely due to the warnings by some semiconductor companies. The SOX slipped back below its 200-day moving average yesterday, so that will certainly be an area to keep an eye on. Briefing.com makes a good point today that people may be over-reacting based on the size of those companies and the fact that the SOX has been lagging for months.
Currently holding:
Long - CME, URBN
Short - CELG, CNCT, INSP (which just got upgraded...ugh!),
Looking for swing trade entries in:
Longs - AGU, BTU, ENER, FORM, HAR, JOYG, LYO, MYGN, NTES, QSFT, SINA, SYNA, TV, ZEUS
Shorts - None
Potential day trades:
(From Briefing.com)
Gapping Down
Comm IC stocks are weak on warnings from ALTR -8.4% and XLNX -7.7%: TQNT -4.6%, PMCS -3.8%, BRCM -3.4%, VTSS -3.2%..... Other News: LNG -16% (ChevronTexaco terminates equity negotiations on Sabine Pass LNG), RCO -11% (bounce from 13% drop yesterday), EXM -8.6% (sells 2.2 mln shares at $25), TRFDF -10%, NSTK -6.2% (prices 4.25 mln share offering at $13.50), DWA -6% (reports Q3 results; delays release of Shrek 3; started with an Underperform at Bear Stearns), ASML -3.3%, CHINA -3.2%, COST -2.9% (reports NovQ), ERICY -3.3% (China govt reports that the country has exported 111 mln cellphones by the end of this Oct), NOK -2.4% (same)..... Under $3: BPUR -17% (to sell stock and warrants), CHRD -8.6% (to acquire KiQ for approx $19 mln).
Gapping Up
INGN +32% (co's Advexin shows promise in treating breast cancer), CIEN +25% (reports OctQ, beats by a penny, guides JanQ revs above consensus), PPD +7.7% (short squeeze), TPTH +6.6% (positive breast cancer results), TOL +4.8% (reports OctQ, beats by $0.25; guides above consensus), IVAN +4.3% (expands natural gas production), NT +3.2% (in sympathy with CIEN, Friedman Billings upgrade), SIRI +2.8% (bounces from yesterday's 23% drop), JRJC +2.7% (started with a Buy at Jefferies; tgt $16).
I like to have a few under $5 stocks going and swing for the fences. I'm lucky to own CIEN and AVNX today. I'm thinking, if AVNX is moving up can JDSU be far behind? But I also wonder how much of the January Effect for small caps is in motion, too. Combine that with the general notion that as a bull run gets in the late innings, investors get more speculative and the junk stocks start moving. Eh, that's what I'm thinking over my burrito here anyways!